Entrepreneurship methods 1: Chinese way
China is prosperous today simply by duplicating what is already working. The country has reverse engineered themselves into prosperity. They copy, improve and made it better.
China’s genius wasn’t just in copying. it was in selective adaptation, bold experimentation, and massive execution.
It watched others, skipped their mistakes, and tailored what worked to its size, culture, and political system.
While China copied elements from Singapore, Japan, and others, its advantage was this:
- Massive population: allowed scaling of industrial labor and domestic consumption.
- Authoritarian governance: allowed fast, top-down implementation of long-term plans.
- Gradual liberalization: China opened its markets step-by-step, always keeping the Party in control.
From the West influences:
What China adopted:
- Foreign direct investment (FDI): Learned how to attract and manage global capital.
- Sent millions of students to study abroad—especially in the U.S.—then brought them back with new knowledge.
- Built world-class infrastructure using Western engineering standards but with Chinese speed and scale.
Think of China’s high-speed rail, massive ports, highways, and new cities—first studied abroad, then built faster and cheaper at home.
Copying from Korean and Taiwan exports;
What China admired:
- The “Asian Tigers” model of export-driven development.
- Strong industrial policy with a focus on semiconductors, steel, and electronics.
- State protection combined with global competitiveness.
What China did:
- Like Korea, China protected domestic industries while pushing them to become global leaders (e.g. Huawei, BYD).
- Heavily invested in R&D and tech upskilling.
- Gradually climbed the value chain, going from cheap labor assembly to high-tech innovation.
Copying from Japan: Industrial Upgrading and Discipline
What China admired:
- Japan’s rapid post-WWII industrial rise.
- Its focus on manufacturing quality, efficiency, and lifetime employment systems.
- Kaizen (continuous improvement) and Just-In-Time production.
What China adopted:
- Set up Special Economic Zones (SEZs) based on Japanese industrial clusters.
- Partnered with Japanese manufacturers in electronics and automotive (e.g., Toyota, Panasonic) to transfer technology and processes.
- Trained workers in discipline, quality control, and process optimization—mirroring Japan’s factory model.
In the 1980s and 1990s, Japanese firms brought capital, management style, and technical training to China’s coastal regions.
from Singapore governance, efficiency and control;
What China admired:
- Singapore’s clean, efficient, corruption-free government.
- Its model of state-led capitalism—a strong government steering market forces.
- Social stability, discipline, and long-term planning.
What China adopted or adapted:
- Meritocratic bureaucracy: China reformed its civil service and party system to improve governance.
- Urban planning: China invited Singaporean urban planners to help design eco-cities (e.g. Tianjin Eco-City).
- SOE reform: Inspired by Singapore’s Temasek Holdings, China created its own state-owned asset management companies (like SASAC).
Deng Xiaoping famously said after visiting Singapore in 1978:
“If 2-3 Chinas become like Singapore, that would be a tremendous success.”
Many Asian entrepreneurs succeed by using the “先模仿,再創新” approach (imitate first, innovate later). This is not shameful in business—it’s smart risk management. They:
- Reduce trial-and-error costs.
- Learn from others’ mistakes.
- Focus on execution, distribution, and scale, not reinventing the wheel.
Entrepreneurs Who Succeeded Through Duplicating Models
Zhang Yiming – ByteDance (TikTok)
- Duplicated: The Vine and Musical.ly short-video format.
- What he did: Took the idea of short-form video, added AI-powered personalization, and launched Douyin (China) and TikTok (global).
- Success: TikTok became a global cultural force and ByteDance a tech giant valued at hundreds of billions.
Key Insight: He didn’t invent short videos—but he perfected the algorithm-driven experience.
Oliver Samwer – Rocket Internet
- Duplicated: Countless U.S. tech startups (eBay, Airbnb, Uber).
- What he did: Built clones of successful American startups and launched them in underdeveloped or unserved markets (Europe, Asia, Africa).
- Success: Sold Alando (eBay clone) to eBay for $43M in 100 days. Lazada, Zalando, Foodpanda all began this way.
Key Insight: Execute fast, localize well, and exit before the original competitor enters the market.
Lei Jun – Xiaomi
- Duplicated: Apple’s product design and user experience.
- What he did: Brought high-end smartphone aesthetics to mass-market pricing, using lean production and direct-to-consumer online sales.
- Success: Became one of the world’s top smartphone manufacturers within 5 years.
Lei once said: “Apple is the best teacher. We want to be the Apple for China’s masses.”
Bhavish Aggarwal – Ola Cabs
- Duplicated: Uber’s ride-hailing model.
- What he did: Launched Ola before Uber entered India, localized the product with cash payments, auto-rickshaws, and multi-language support.
- Success: Ola dominated Indian ride-hailing and expanded into EVs and cloud kitchens.
Colin Huang – Pinduoduo
- Duplicated: Groupon-style group buying.
- What he did: Mixed social sharing + discount e-commerce, targeting rural and low-income users. A WeChat-powered viral model.
- Success: Became one of China’s biggest e-commerce platforms in record time.
He didn’t copy Alibaba. He built for another segment—the under-served.
- Carousell launched in 2012 as a mobile-first C2C classifieds marketplace—very much inspired by eBay/Craigslist—but localized with mobile UX, Southeast Asia focus, and regional expansion. It grew fast and now values over US $1 billion .
- SleekFlow, founded in 2019, adopted established SaaS ideas of omnichannel customer messaging (like intercom-style chat flows) and AI assistants, but optimized them for APAC dynamics—multi-language support, local social-platform integration—scaling across Singapore and Hong Kong .
- PRISM+, founded in Singapore, looked at global D2C electronics and home‑appliance markets, and offered smart TVs and soundbars with modern design and access to Amazon.sg—effectively replicating global consumer-electronics models but tailored to ASEAN markets .
Starbucks & the Svenson Couple: UK Story Verified
- In 1998, Starbucks entered the UK by acquiring the Seattle Coffee Company, a chain of about 60–64 coffee shops founded by Scott and Ally Svenson, an American couple who had moved from Seattle to London. Starbucks rebranded their shops and the Svensons continued to manage UK operations for a time .
- So the Canadians you described—“a US couple who brought Starbucks to the UK, built it fast, and then were bought by Starbucks”—are indeed Scott & Ally Svenson. They created a successful local chain that Starbucks acquired when it first entered the UK market.
Why It’s Called the “Subway of Pizza”
MOD Pizza uses a “Chipotle/Subway-style” model:
- Walk the line, choose your crust, sauce, and toppings.
- All pizzas are the same price regardless of toppings.
- Pizzas are fired in minutes in a stone oven.
This format was part of a new wave of fast-casual, customizable food chains, alongside:
- Blaze Pizza (backed by LeBron James)
- Pieology
- &pizza
💡 The Founders’ Story:
Copying, Localizing, Scaling
- Scott and Ally Svenson are the same U.S. couple who earlier built Seattle Coffee Company in the UK (as you mentioned), which Starbucks acquired in 1998.
- After selling to Starbucks and working in leadership there, they returned to the U.S. and saw a gap: pizza hadn’t been modernized like burgers (Five Guys) or Mexican food (Chipotle).
- They took inspiration from Subway and Chipotle and applied it to pizza.
- MOD Pizza was born in Seattle as a “custom, quick, and affordable” pizza chain—with a strong social mission (they hire many people from disadvantaged backgrounds).
Growth & Expansion
- As of 2023, MOD Pizza has over 500 locations in the U.S. and some international markets.
- The brand grew rapidly thanks to:
- Flat pricing (no nickel-and-diming for toppings)
- Fast service (ready in ~5 minutes)
- Clean, modern branding
- A mission-driven business model
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